This document contains the questions and responses from a student's terminal exam. It discusses personal equity financing options for a new business venture, including equity financing, debt financing, and risk factors to consider. It also includes the student's proposed business idea of a bioinformatics tech startup and factors a venture capitalist would consider when deciding on an investment.

1. TERMINAL EXAM
SP18-BSI-025
Kashaf Naz

2. QUESTION # 1
MCQS

3. QUESTION # 2
Personal Equity Dept
• it might be tempting to just
apply the same principles you
use for your personal finances
to your business
• Equity financing is the process
of raising capital through the
sale of shares.
• Equity financing places no
additional financial burden on
the company, however, the
downside is quite large.
• Debt financing occurs when a
firm raises money for working
capital or capital expenditures
by selling debt instruments to
individuals and/or institutional
investors.
• personal finance can mean
devastating losses, as in your
car or even your house.
• Companies raise money
because they might have a
short-term need to pay bills, or
they might have a long-term
goal and require funds to
invest in their growth.
Debt financing involves the
borrowing of money

4. WHAT FACTORS WOULD YOU CONSIDER IN ORDER TO DECIDE THE
FINANCING YOUR INTENDED NEW BUSINESS VENTURE NEEDS
• Risk
• Cost
• Control
• Long term vs short term Browing

5. HOW WOULD YOU FINANCE YOUR BUSINESS KEEPING ONLY
RIBA-FREE OPTIONS IN MIND
• Savings
• Credit cards
• Friends and family
• SBA Microloan Program
• Angel investors
• Crowdfunding
• Business loans and lines of credit
• Factoring

6. QUESTION # 3
Business idea
Bioinformatics Tech Startup
Attached elevator speech

7. QUESTION # 4
As a venture capitalist interested in investing in new ideas:
a “good idea” is not enough. A number of additional factors weigh into venture
capital decisions, including the team, the proof of concept, the size of the market, and
the terms of the investment.
• Leadership Ability
• A Strong Team
• Reasonable cash burn rate
• Innovative product
• A clean cap table
• A Detailed Plan for How the Capital Will Be Put to Work
•